What is an Exempt Employee?

According to the Fair Labor Standards Act (FLSA), exempt employees are paid a set monthly or annual salary instead of hourly pay. This means that these employees may work as much or as little as they need to fulfill the duties of their position. They’re typically salaried employees.

They are not required to work a minimum number of hours as long as they can adequately complete their duties. Exempt employees do not typically receive overtime pay. They also must be paid a certain minimum salary.

Exempt employees can often choose to only work on certain days of the week, which can improve their work-life balance and allow them to choose to work primarily during the days and times they are most productive.